Why MP Craig Thomson wants civil case put on hold

Fair Work Australia alleges former Labor MP Craig Thomson misused union funds when he was the HSU national secretary between 2002 and 2007.
Photo: Andrew Meares

by
Jason Murphy

Federal MP
Craig Thomson
could potentially face a miscarriage of justice if simultaneous civil and criminal cases are run against him, the Federal Court in Melbourne has heard.

Fair Work Australia is trying to push ahead with a civil case against Mr Thomson, arguing that matters in the lawsuit that do not overlap with the criminal proceedings should not be stayed.

Mr Thomson’s barrister,
Jim Pearce,
told the Federal Court on Thursday civil proceedings should be stayed until the criminal matters had been dealt with.

“What flows, of course, from the overlapping in the criminal and the remaining . . . civil proceedings is the possibilities of publicity . . . the burden on the defendant of preparing for both sets of proceedings," he said.

“There is a possible miscarriage of justice due to the disclosure of defences which interrelate with the respondent's right to silence."

He argued Mr Thomson would be overburdened by preparing two cases at once, both in terms of effort and cost.

But counsel representing the general manager of the Fair Work Commission argued the cases were sufficiently distinct to pursue both.

“There is evidence the legal team is different . . . the same lawyers aren’t going to be unduly burdened by preparing for two sets of matters, the evidence in our submission does not establish that Mr Thomson does not have capacity to pay,"
Stephen Donaghue
SC, said.

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“The effect would be in this case the respondent would be protected from needing to meet civil penalty allegations about his expenditures in the context of the Dobell election even though those same matters will never be considered in any other court."

The court heard Mr Dobell could use a $95,000 lump sum to fund his legal battles, “in the event that he decides to contest the federal election and loses".

After the hearing, Thomson lawyer
Chris McArdle
confirmed that referred to a statutory payout available to politicians who lose their seat, equal to 50 per cent of pay if they have served eight years.

Mr McArdle said the ongoing case would make it hard for Mr Thomson to get a fair trial. “It is going to prejudice his criminal matter," he said.

Justice
Christopher Jessup
reserved his decision, but said dealing with two simultaneous claims was “commonplace" in the business world.

Under the 37 civil charges brought by the Fair Work Commission, Mr Thomson, the federal member for Dobell, has been accused of misusing union funds when he was national secretary of the Health Services Union from 2002 to 2007.

He also faces criminal charges for fraud.

Mr Thomson denies all charges.

He will next appear in Melbourne Magistrates’ Court for a committal mention on May 22.